Michael Strain of the American Enterprise Institute explains the recent Gallup poll finding that “41% of small-business owners say they have held off on hiring new employees and 38% have pulled back on plans to grow their business”:
Starting in 2014, Obamacare requires firms with an average of fifty or more full-time workers in the previous calendar year – 2013; this year – to provide health insurance to their employees or face penalties. This creates what economists (and non-economists) describe as an incentive not to hire a fiftieth worker. It may even provide an incentive for firms to let a few workers go if doing so would get them under fifty workers. These poll results suggest that both are happening. . . . So given all this, let me throw something out there: During a labor market crisis, perhaps the government shouldn’t provide a disincentive for small businesses to grow their workforces.
Well, that’s a theme that can translate elsewhere.
During a scandal involving politicization of the Internal Revenue Service and misuse of its data, perhaps the government shouldn’t give it access to reams of personal, medical data.
During a shortage of STEM jobs and an international battle for high-skilled labor, perhaps the government shouldn’t impose a tax on medical devices that discourages innovation and hiring in what has been a growth industry.
During the aftermath of the Oregon Medicaid study in which it was found that greater access to Medicaid coverage does not increase medical outcomes, perhaps the government shouldn’t expand Medicaid.
There are lots of reasons to freeze implementation of one of the most ill-conceived pieces of legislation in recent memory. But so long as the Senate and White House remain in Democratic hands, the public likely will have to put up with this monstrosity. It would behoove the GOP to come up with something that affords voters some of the benefits of Obamacare without the dislocation, hassle, tax hike, etc.